Varun Beverages up 10% as Q3 PAT zooms 19%; announces pact with Carlsberg

Varun Beverages share price today: Shares of Varun Beverages, Pepsi India bottler, surged over 10 per cent to hit an intraday high of ₹501 on the NSE after the company announced its results for the July to September quarter (Q3FY25) and a special distribution agreement with Carlsberg Breweries. 

 

At 01:45 PM, the Varun Beverages stock was trading at ₹496.5, up 9.3 per cent compared to the previous session's close of ₹454.15 on the NSE. In comparison, the benchmark NSE Nifty50 was trading 146.35 points, or 0.56 per cent higher at 26,082 levels. The company's total market capitalisation stood at ₹1.64 trillion. The stock's 52-week high stood at ₹663.6 and 52-week low stood at ₹419.55.

 

Varun Beverages Q3CY25 results

In the reported quarter, Varun Beverages posted consolidated revenue from operations of ₹5,047.7 crore, up 2.3 per cent from ₹4,932.06 crore in the year-ago period. The company's earnings before interest, tax, depreciation and amortisation (Ebitda) slipped marginally to ₹1,147.4 crore compared to 1,151.1 crore in the September quarter of CY25. Ebitda margins declined slightly by 53 bps to 23.4 per cent in Q3CY2025 compared to 24 per cent in Q3CY2024. However, the company's profit after tax (PAT) jumped 18.5 per cent to ₹745.2 crore from ₹628.8 crore in the year-ago period. 

 

The company's consolidated sales volume grew by 2.4 per cent to 273.8 million cases in the reported quarter from 267.5 million cases in the year-ago period. India volumes were almost flat, and International volumes grew by 9 per cent, led by a strong performance in South Africa. 

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Additionally, the company announced that its certain African subsidiaries will enter the market for beer through an exclusive distribution agreement with Carlsberg Breweries. Carlsberg is a Danish alcohol maker. 

 

"In response to the growing popularity of Ready To Drink (RTD) and variety of Alcoholic Beverages, VBL sees an opportunity for expansion into the business of RTD & Alcoholic Beverages of any type or description, including beer, wine, liquor, brandy, whisky, gin, rum, vodka in India & abroad," the company added in the exchange filing carrying the quarterly results. 

 

Varun Beverages also informed that its snacks facility in Morocco has ramped up to full-scale operations. This will result in a processing plant in Zimbabwe. 

 

Varun Beverages has expanded into the Kenyan market by establishing a fully owned subsidiary named Varun Food and Beverages (Kenya) Limited. The new entity will handle local manufacturing and distribution of beverages. The company plans to invest KSH 1.25 crore (approximately ₹1 crore) in this venture, securing complete ownership of the subsidiary.